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3 years ago

PA11.

Business

1 answer:

NARA [144]3 years ago

4 0

Answer:

Using Traditional allocation method

Allocation rate per unit

= Budgeted overhead

Budgeted direct labour hours

Brass

Overhead allocation rate

= $47,500

700 hours

= $67.86 per direct labour hour

Gold

= $47,500

1,200 hours

= $39.58 per direct labour hour

Using activity-based costing

Brass

Allocation rate for material cost pool

= $12,500

400

= $31.25 per material moved

Gold

Allocation rate for material cost pool

= $12,500

100

= $125 per material moved

Brass

Allocation rate for machine set-up pool

= $35,000

400

= $87.50

Gold

Allocation rate for machine set-up pool

= $35,000

600

= $58.33

Explanation:

Using traditional allocation method, the overheads for material cost pool and machine set-up pool will be added. The overhead allocation rate per unit is the division of total overhead by the direct labour hours for each product.

Using activity-based costing, the material cost pool overhead will be divided by the material moved for each product in order to obtain allocation rate for each product.

The allocation rate for machine set-up pool is obtained by dividing the machine set-up overhead by the number of machine set-up for each product.

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Compare and contrast the views of big business and conservationists on the use of natural resources

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Big business views the natural resources as being the means to achieve their own business goals. They believe in exploit natural resources for their own needs. On the other hand, conservationists believe in preserving the natural resources and consider it an important source for human survival.

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3 years ago

Ricardo's Mexican Restaurant incurred salaries expense of $62,000 for 2018. The payroll expense includes employer FICA tax, in a

Lana71 [14]

Answer:

1. Journalize Ricardo's expenses for employee benefits and for payroll taxes. Explanations are not required.

Assuming Ricardo has not yet paid the expenses:

XX, 2018, employee benefits and payroll tax expenses

Dr FICA tax (OASDI) expense 3,844

Dr FICA tax (Medicare) expense 899

Dr FUTA tax expense 132

Dr SUTA tax expense 1,188

Dr Worker health insurance 3,000

Dr Worker life insurance 330

Dr 401k plan 6,200

Cr FICA tax (OASDI) payable 3,844

Cr FICA tax (Medicare) payable 899

Cr FUTA tax payable 132

Cr SUTA tax payable 1,188

Cr Worker health insurance payable 3,000

Cr Worker life insurance payable 330

Cr 401k plan payable 6,200

If Ricardo has already paid the expenses and benefits, you should only credit cash for $15,593

2. What was Ricardo's total expense for 2018 related to payroll?

$15,593 + $62,000 = $77,593

Explanation:

salaries expense $62,000

FICA taxes (OASDI) = $62,000 x 6.2% = $3,844

FICA taxes (Medicare) = $62,000 x 1.45% = $899

FUTA taxes = $22,000 x 0.6% = $132

SUTA taxes = $22,000 x 5.4% = $1,188

health insurance $3,000

life insurance $330

retirement benefits $6,200

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3 years ago

Which type of investment would be an example of an investment at point B? a US savings bond a CD a stock a savings account.

Assoli18 [71]

There are different types of investment. The type of investment would be an example of an investment at point B is a stock.

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There are different kinds of investments. They includes stocks, real estate, etc. The intention of the buyer is that they will increase the value of their savings/money over time.

Learn more about Stocks from

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